CMOC Group (SHA:603993, HKG:3993), previously China Molybdenum, said the Democratic Republic of the Congo suspended exports of cobalt to address oversupply within the global market, Yicai Global reported Wednesday.
The suspension, which started Feb. 24, is expected to run for at least four months as the excessive amount of global supply has brought prices lower, the report said.
The suspension will not significantly affect the Chinese cobalt producer's operations, CMOC told the media outlet, as its production at the DRC-based Tenke Fungurume and Kisanfu mines are operating smoothly.
CMOC said it has establish a task force to monitor policy developments within the DRC, as well as to communicate with the authorities in the Central African country, the report said.
CMOC's Hong Kong shares fell less than 3% and Shanghai shares dropped less than 2% in recent trade.
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